I said, it won't make a business expand. Buyers will. A little bit different.
And the part I put in to bold is not my belief. The catch 22 we always face in down turns is that business won't grow until people buy. And people wont buy until they have money. You can't tax cut enough to change this. And spending by the government is the less efficient way. But there is no efficient way that moves it forward quickly. If you believe the president is responsible (a wrong assumption BTW), you leave no real choice but to spend, and both parties have done this, even Reagan. They do it because they are expected to do it. After all, the illusion that they can fix it is firmly engrained. And they only the government can increase employment is by hiring people.
Consider the situation faced by business owners today. As reported, they are sitting on money.
First, the government has imposed a new regulation known as Obamacare. It is so convoluted, and contains such potential risk to business owners, the President has decided by fiat, to withdraw portions of it for another year.
What kind of impact do you think Obamacare has on business hiring and expansion?
Second, the President has annouced he plans to sidestep congress, and make changes to energy production and policy. It is well known this will have an impact on the cost of energy. Little takes place in the business world without energy.
What kind of impact do you think President Obama's new energy policy will have on business hiring and expansion?
There are many other issues that could be viewed in a similar light.
These are issues that impact employment. As we both agree, more employment equals more potential demand.
Unfortunately, it's almost 4pm, and my time in my office here is just about done. I'm afraid I won't be able to respond until a later time.
I do appreciate the rational discussion.
There are some here who haven't figured out how to do that.